single tenant absolute nnn lease investment · 2019-10-23 · brand face of walgreens boots...

3488 Robinhood Rd, Winston-Salem, NC 27106

SINGLE TENANT ABSOLUTE NNN LEASE INVESTMENTWalgreens (NASDAQ: WBA) is rated “BBB” by S&P’s

WALGREENS | WINSTON-SALEM, NC | PG. 3

PROPERTY OVERVIEWWe are pleased to offer to qualified investors an opportunity to purchase

an investment grade single tenant NNN leased

investment that is fully leased to Walgreen Co. with

~10 years remaining on the base term and 10 - 5

year option periods. Comprised of a 13,650 square

feet building and situated on a large 1.31 acre lot;

the subject property benefits from its proximity to traffic generators such

as Mt. Tabor High School, Jefferson Middle School, and national retailers

such as Chick-fil-A, Starbucks, T.J. Maxx, Harris Teeter grocer, and more.

This is an excellent opportunity to purchase a true investment grade tenant

- “BBB” by S&P’s, with ~10 years remaining, on an absolute NNN Lease

providing passive income through zero landlord responsibilities.

PG. 2 | WALGREENS | WINSTON-SALEM, NC

PRICING DETAILSList Price $5,265,000

CAP Rate 5.95%

Annual Rent $313,300

Taxes NNN

Insurance NNN

CAM NNN

ASSUMABLE LOAN Loan Amount $3,250,000

Term 10 Years

Fixed Interest Rate 4.436%

Maturity Date December 6, 2024

Earliest Payoff Date March 6, 2017

Date Defeasance Possible July 6, 2022

Lender/Servicer Goldman Sachs/Wells Fargo

Loan Assumption Fee 1% $32,500

Annual Debt Service $146,156

Yr 1 Cash-on-Cash 8.29%

LEASE ABSTRACTTenant Trade Name Walgreens

Lease Start May 15, 2004

Lease Expiration May 31, 2029

Term Remaining On Lease 10 Years

Base Rent $313,300

Rental Adjustments None

Option Periods 10 - 5 Year Options Flat

Lease Type NNN Lease

Roof & Structure Tenant Responsible

PARCEL DETAILSAPN 6816-04-5559

Building Size 13,650 SF

Land Size Approx. 1.39 Acres

421 150 WINSTON SALEM UNIVERSITY+/-5,190 Students

SMITH-REYNOLDSAIRPORT

UNIVERSITY PKWY

NORTHWEST BEND

ROBINHOOD RD

67

BUENA VISTA RD

COUNTRY CLUB RD

S. STRATFORD RD

8

REYNOLDA RD

INVESTMENT HIGHLIGHTSWalgreens (NASDAQ: WBA) is rated “BBB” by S&P’s - Investment Grade Credit

~10 Years Remaining on the Base Term with 10 - 5 Year Option Periods

Excellent Yr 1 Cash-on-Cash Return of 8.29%

Absolute NNN Lease - Zero Landlord Responsibilities - Ideal 1031 Exchange Asset

Over $131 Billion in Corporate Revenue - Net Income Over $5 Billion

Ranked 17th in Fortune Global 500 - 2nd Largest Pharmacy Store Chain in U.S.

Nearby National Tenants Include

Chick-fil-A, Starbucks, McDonald’s, T.J. Maxx, Lowes Foods, CVS,

The Fresh Market and More

Close Proximity to Mt. Tabor High School and Jefferson Middle School

1,550 Students & 1,288 Students Respectively

Winston-Salem, NC - Home to Major Universities and Colleges

Subject Property is ~2 Miles from Wake Forest University (8,401 Students)

Winston-Salem State University (5,190 Students), The University of North Carolina

School of the Arts (1,292 Students), Forsyth Tech Community College

(12,806 Students)

Demographics - Over 58,600 Residents within a 3 Mile Radius

Affluent Neighborhood - AHHI Over $98,700 within a 3 Mile Radius

WALGREENS | WINSTON-SALEM, NC | PG. 5PG. 4 | WALGREENS | WINSTON-SALEM, NC

ROBINHOOD RD. 20,065 VPD

POLO RD. NW

WINSTON-SALEM


9,560Walgreens Pharmacies

2nd LargestPharmacy Store Chain

in United States

Walgreens Boot Alliance

Ranked

17th in Fortune Global 500

Rated

BBBby S&PInvestment Grade Credit

Walgreen Co. is the second-largest pharmacy store chain in the U.S.,

operating some 9,560 mostly freestanding Walgreens stores in all 50

US states, the District of Columbia, the

Virgin Islands, and Puerto Rico. But it’s the

brand face of Walgreens Boots Alliance, a

company with a worldwide reach. For the

US subsidiary, prescription drugs account

for about 70% of sales; the rest comes

from general merchandise, over-the-counter medications, cosmetics, and

groceries. Most Walgreens stores offer drive-through pharmacies and one-

hour photo processing. Walgreen acquired the Swiss-based Alliance Boots

to form Walgreens Boots Alliance in 2014.

WALGREENS BOOTS ALLIANCEWalgreens Boots Alliance (Nasdaq: WBA) is the first global pharmacy-led,

health and wellbeing enterprise.

• Walgreens Boots Alliance is the largest retail

pharmacy, health and daily living destination

across the U.S. and Europe.

• Walgreens Boots Alliance and the companies in

which it has equity method investments together

have a presence in more than 25 countries and

employ more than 385,000 people.

ABOUT WALGREENS CO.

Walgreens Boots Alliance, Inc.Type Public

Traded AsNASDAQ: WBANASDAQ-100 Component

Price $57.49

Area Served Worldwide

Volume 3,569,217Market Cap 51.91B

As of 9/11/2019


PG. 10 | WALGREENS | PALATKA, FL WALGREENS | PALATKA, FL | PG. 11WALGREENS | WINSTON-SALEM, NC | PG. 11PG. 10 | WALGREENS | WINSTON-SALEM, NC

ABOUT Winston-Salem, NCWinston-Salem is a city in and the county seat of Forsyth County, North Carolina. With a 2018 estimated population of 246,328 it is the second largest

municipality in the Piedmont Triad region, the fifth most populous city in North Carolina, and the third largest urban area in North Carolina. With a

metropolitan population of 676,673 it is the fourth largest metropolitan area in North Carolina.

Winston-Salem is called the “Twin City” for its dual heritage and “City of the Arts and Innovation” for its

dedication to fine arts and theater and technological research. “Camel City” is a reference to the city’s

historic involvement in the tobacco industry related to locally based R. J. Reynolds Tobacco Company’s

Camel cigarettes.

Winston-Salem has seen a surge in growth and revitalization in the downtown area with hotels, restaurants,

and apartments under construction. In 2017, the New York Times and the Wall Street Journal ranked the city

second in their lists of the most livable downtowns in America. Winston-Salem tied with Charlotte for the

highest growth in small business. WalletHub ranked Winston-Salem the third most affordable large city to

start a small business.

ECONOMYIt is the location of the corporate headquarters of BB&T (Branch Banking and

Trust Company), HanesBrands, Inc., Krispy Kreme Doughnuts, Inc., Lowes

Foods Stores, ISP Sports, Reynolds American (parent of R. J. Reynolds Tobacco

Company), Reynolda Manufacturing Solutions, K&W Cafeterias, and TW Garner

Food Compan. Blue Rhino, the nation’s largest propane exchange company and

a division of Ferrellgas, is also headquartered in Winston-Salem.

Although traditionally associated with the textile and tobacco industries, Winston-

Salem is transforming itself to be a leader in the nanotech, high-tech and bio-

tech fields. Medical research is a fast-growing local industry, and Wake Forest

Baptist Medical Center is the largest employer in Winston-Salem.

Public and private investment of $713 million has

created the Wake Forest Innovation Quarter, an

innovation district in downtown Winston-Salem

which features business, education in biomedical

research and engineering, information technology

and digital media, as well as public gathering

spaces, apartment living and community events.

EDUCATIONWinston-Salem has a number of colleges and universities, including:

• Wake Forest University, 4-year private research university• Winston-Salem State University, a historically black university• University of North Carolina School of the Arts (formerly the North Carolina School of the Arts)• Salem College, the oldest continuously operating educational institution for women in America, founded in 177• Forsyth Technical Community College

Population 1-MILE 3-MILE 5-MILE

Estimated Population (2019) 5,094 58,649 154,659

Projected Population (2024) 5,170 61,137 162,175

Households 1-MILE 3-MILE 5-MILE

Estimated Households (2019) 2,195 25,147 65,639

Projected Households (2024) 2,223 26,294 68,910

POPULATION DENSITY

58,649+ RESIDENTS WITHIN 3-MILE RADIUS

PG. 12 | WALGREENS | CASA GRANDE, AZ

Income 1-MILE 3-MILE 5-MILE

Avg. Household Income (2019) $114,538 $98,727 $75,209

Median Household Income (2019) $87,535 $59,518 $47,240

Business Facts 1-MILE 3-MILE 5-MILE

Total # of Businesses (2019) 314 2,761 9,628

Total # of Employees (2019) 2,638 26,016 131,690

$$HOUSEHOLD INCOME

$114,538 AHHIWITHIN 1-MILE RADIUS


Colliers International | 3 Park Plaza, Suite 1200 | Irvine, CA 92614 | Snyder/Carlton Team

Colliers International makes no guarantees, representations or warranties of any kind, expressed or implied, regarding the information including, but not limited to, warranties of content, accuracy and reliability. This publication is the copyrighted property of Colliers International and /or its

licensor(s) 2015. All rights reserved

This Offering Memorandum contains select information pertaining to the business and affairs of Walgreens - Winston-Salem, NC. It has been prepared by Colliers International. This Offering Memorandum may not be all-inclusive or contain all of the information a prospective purchaser may desire. The information contained in this Offering Memorandum is confidential and furnished solely for the purpose of a review by a prospective purchaser of the Property. It is not to be used for any other purpose or made available to any other person without the written consent of Seller or Colliers International. The material is based in part upon information supplied by the Seller and in part upon financial information obtained from sources it deems reliable. Owner, nor their officers, employees, or agents makes any representation or warranty, express or implied, as to the accuracy or completeness or this Offering Memorandum or any of its contents and no legal liability is assumed or shall be implied with respect thereto. Prospective purchasers should make their own projections and form their own conclusions without reliance upon the material contained herein and conduct their own due diligence.

By acknowledging your receipt of this Offering Memorandum from Colliers, you agree:

1. The Offering Memorandum and its contents are confidential;

2. You will hold it and treat it in the strictest of confidence; and

3. You will not, directly or indirectly, disclose or permit anyone else to disclose this Offering Memorandum or its contents in any fashion or manner detrimental to the interest of the Seller.

Owner and Colliers International expressly reserve the right, at their sole discretion, to reject any and all expressions of interest or offers to purchase the Property and to terminate discussions with any person or entity reviewing this Offering Memorandum or making an offer to purchase the Property unless and until a written agreement for the purchase and sale of the Property has been fully executed and delivered.

If you wish not to pursue negotiations leading to the acquisition of Walgreens - Winston-Salem, NC or in the future you discontinue such negotiations, then you agree to purge all materials relating to this Property including this Offering Memorandum.

A prospective purchaser’s sole and exclusive rights with respect to this prospective transaction, the Property, or information provided herein or in connection with the sale of the Property shall be limited to those expressly provided in an executed Purchase Agreement and shall be subject to the terms thereof. In no event shall a prospective purchaser have any other claims against Seller or Colliers International or any of their affiliates or any of their respective officers, Directors, shareholders, owners, employees, or agents for any damages, liability, or causes of action relating to this solicitation process or the marketing or sale of the Property.

This Offering Memorandum shall not be deemed to represent the state of affairs of the Property or constitute an indication that there has been no change in the state of affairs of the Property since the date this Offering Memorandum.

INVESTMENT CONTACTS:

WALGREENS | PALATKA, FL | PG. 15

Eric CarltonExecutive Vice PresidentLicense No. [email protected]

Jereme SnyderExecutive Vice PresidentLicense No. [email protected]

Carter RudnickAssociateLicense No. [email protected]


single tenant absolute nnn lease investment · 2019-10-23 · brand face of walgreens boots...

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